Money Is Like Manure In Many Ways
November 17, 2017 at 10:37 AM
"Money is like manure. You have to spread it around or it smells." - John Paul Getty
I think that sometimes we can all feel overwhelmed. There is so much information coming at us from all different directions, that you can feel like a deer standing in the middle of the road looking into the oncoming headlights and not know which way to go. Simplicity can sometimes put the whole picture into a more condensed and easier to implement plan. J. Paul Getty’s “8 Secrets To Wealth” offers some excellent rules to achieve financial success.
Rule No. 1: To acquire wealth today, you must have your own business.
This rule is the most important among all the secrets to wealth. You may think that the corporate executive with a $100,000 salary is better off than a small shop owner, but the executive will be hard-pressed to double his income and taxes will eat up most of any increase. Building a business is probably the best investment opportunity providing the highest returns on investment.
Rule No. 2: You must have adequate knowledge of the business.
"Risk comes from not knowing what you are doing." - Warren Buffett
You must have a working knowledge of the business when you begin and continue to increase your knowledge of it as you proceed. If you do not know what you are doing at the beginning, your mistakes will be costly and often unnecessary, and you will not be able to keep up with the technological explosions in any field. Start smart and stay that way.
Rule No. 3: You must learn to save money.
You must save money in your personal life and in your business venture as well. Discipline is the key to saving money. You must develop the will power to deny yourself immediate gratification or the temptation to gamble on the quick buck. Resources will be needed for expansion and should be guarded carefully.
Rule No. 4: You must take risks.
"To win big, you sometimes have to take big risks." - Bill Gates
This is the singular difference between the rich and poor. You must take risks, either with your own money or with borrowed money. Risk-taking is essential to business growth. When taking risk, back it with good judgment, experience, commitment, and the right support. Always seek advice on risks from the wealthy those who still take risks but not from friends who dare nothing more than a football bet.
Rule No. 5: You must learn to live with tension.
You must not only learn to live with tension, you must seek it out. Thrive on stress and once you learn to, you will not only enjoy it, you will seek it out willingly and enthusiastically. The wealthy look at making money as a game which they love to play. Consider it serious business and you will suffer far more stress than you need or want. Keep your perspective or your stress level will rocket beyond your control.
Rule No. 6: Build wealth as a by-product.
"Wealth, like happiness, is never attained when sought after directly. It comes as a product of providing useful service." - Henry Ford.
Build wealth as a by-product of your business success. If wealth is your only object in business, you will probably fail. Wealth is only a benefit of the game. If you win, the money will be there.
Rule No. 7: You must be patient.
Patience is the most important attribute in creating wealth; it is the greatest asset of business. Wait for the right time to make your moves. Let your business grow naturally, not by pressing your luck.
Rule No. 8: Diversify.
Diversify at the top. This is the last rule to creating wealth and one of the essential secrets to success. Once you have made it, you will understand that any business can be limited in the challenges it offers. You will want and need other games to play, so you will look for other ventures to hold your interest. Take a look at the richest people in the world and you will see they have a well-diversified portfolio of investments ranging from businesses to stocks, real estate and commodities.
John Paul Getty was a very interesting character. He was extremely afraid of failure, even in his personal life. He was literally haunted by the failure of his marriages (which totaled 5), and once stated, “I hate to be a failure. I hate and regret the failure of my marriages. I would gladly give all my millions for just one lasting marital success.”
In 1957, Fortune magazine named him the richest living American whilst the 1966 Guinness Book of Records named him as the world's richest private citizen, worth an estimated $1.2 billion. Even with this considerable wealth, Getty was considered a miser. He even had a pay phone installed in his Sutton Place residence and was famous for placing dial-locks on the other telephones!
One of the most interesting facts about John Paul Getty was that he learned to speak Arabic, which allowed him to diversify his oil holdings and expand his companies into the Middle East – a feat almost unheard of by an American at the time.
In conclusion, real estate does create wealth – if you take into consideration the 8 simple rules outlined by John Paul Getty. In terms of a rental property, you need to manage it as if it is a business and ensure that rent is collected on time, repairs done on budget and realize it as a long-term asset. For your principal residence, it is critical to have a buyer’s mindset when selling your home. By taking down all of the personal photos, having a professional stager give you tips on how to make your home appeal to the largest number of buyers, you are following the #8 rule of wealth by diversifying your home and turning it into an asset. To sum up the value and importance of real estate, we can simply heed the sage advice of Getty himself. “Buy when everyone else is selling and hold when everyone else is buying. This is not merely a catchy slogan. It is the very essence of successful investments."
Brian & Myles McCullough
McCullough Marketing is here to assist you with ALL of your real estate dreams. When you are considering buying or selling a home, get the real estate team that has over 45+ years of experience working for YOU! If you thinking about selling your home, I am happy to provide you with a FREE, no-obligation home evaluation that includes ideas for maximizing your home's selling price. Not only will I do a walk-through of your home and in addition to advising you as to the current value of your home, I will send you a list of ideas for "staging" your home to help it sell quickly and for the most money - personally tailored to your home. This will improve your chances of MORE buyers viewing your home and APPEALING to the largest number of active buyers ready to make an offer.
I have found that it is often the small things that make the biggest impact for home sellers, and I am happy to share with you my booklet titled "90 Tips For Getting Your Home Ready for Sale" which I can email you. Feel free to contact me today at 250-751-1223 or email me at [email protected].
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